Insurance Blunders: GEICO and Travelers Slapped with $11.3M Fine for Data Breach Fiasco
GEICO and Travelers were caught with their digital pants down, leading to an $11.3 million slap on the wrist for poor data security. Hackers made off with over 12,000 New Yorkers’ info, filing fake unemployment claims. New York demands these auto insurance companies up their cybersecurity game.
Hot Take:
Looks like GEICO and Travelers took the phrase “Drive safely” a bit too literally, forgetting that cybersecurity is part of the journey too! While they excel in protecting us from road mishaps, it seems they left the door wide open for hackers to joyride through personal data. Here’s hoping their hefty fines drive home the importance of cybersecurity – because even insurance companies shouldn’t have leaky digital roofs!
Key Points:
– GEICO and Travelers fined a total of $11.3 million for inadequate data security measures.
– Hackers stole over 12,000 New York residents’ personal data, leading to fraudulent unemployment claims.
– GEICO fined $9.75 million, Travelers $1.55 million.
– Data breaches occurred via auto insurance quoting tools.
– Both companies agreed to enhance cybersecurity practices post-breach.